Cryptocurrency Exchange Loses “Almost All Funds” in Hack

For your free ISO 27001 Information Security Management System Gap Analysis Checklist, Click here.

A cryptocurrency exchange website has been hit with a wide-sprawling cyberattack where hackers managed to steal “almost all funds” listed on their website. Somewhat ironically, the company terms itself as “your reliable cryptocurrency partner.”

The hack on the Italian cryptocurrency exchange, Altsbit, was confirmed on the company’s Twitter account yesterday, stating that “unfortunately we have to notify you with the fact that our exchange was hacked during the night and almost all funds were stolen. A small part of the funds are safe on cold wallets,” they wrote.

Cold wallets refer to currencies that are stored offline, in a device with private keys that aren’t connected to the internet, which are difficult for a cybercriminal to compromise.

The company is yet to reveal exactly how the hack was able to access the crypto wallets of its users, but has confirmed that an investigation into the hack has been launched. “We are now on analysis of the amount of loss and technical issues of the hack. We will come back soon with more details,” they added.

Some twitter users have been critical of the company, even alleging it of stealing currency from users and disguising it as a hack. One user wrote “Dear users, unfortunately, we have to notify you that we have decided to steal all your money and blame it on a hack. Please deposit more funds ASAP so that we can continue operations and you can keep on enjoying trading at your reliable cryptocurrency partner. Thanks!”

Others have criticsed the company for its lack of adequate protections in place, with one user stating “the only way they can keep the RE-LIABLE is to drop the “RE” and take responsibility for shit security protocols. How is it that 6-years after Mt. Gox there are STILL exchanges who don’t know that hot wallet is only for live-execution flow and cold storage is for the other 97.5%!”

Featured Posts
Recent Posts
Search By Tags
Follow Us
  • YouTube Best Practice Icon
  • LinkedIn Social Icon
  • Facebook Basic Square
  • Instagram Social Icon
  • Twitter Basic Square

© 2020 by Best Practice

  • White YouTube Icon
  • White LinkedIn Icon
  • White Instagram Icon
  • White Facebook Icon
  • White Twitter Icon